47 Nelson Gardens, Braintree, Essex CM7 9TG

Description

A vacant ground-floor two-bedroom maisonette with reception room, kitchen, two bedrooms and bathroom, communal gardens and a garage. The property requires refurbishment. Leasehold with approximately 43 years unexpired and six-week completion.

Location

Nelson Gardens is a residential road in Braintree, close to local shops, Braintree Recreation Ground and Braintree railway station.

Investment Analysis

Investment Snapshot

Property & Refurbishment

I would initially allow £15,000–£25,000 for the works indicated by the listing, investor-grade finishing and contingency. This is an HB/AI feasibility allowance rather than a contractor quotation and should be replaced by survey and itemised trade pricing before bidding.

Rental Analysis

For sensitivity testing I would use an HB market-rent estimate of £1,050–£1,200 pcm. This equates to approximately £12,600–£14,400 per annum and 15.8%–18.0% gross on the guide. At midpoint rent and works, gross yield on guide plus works is about 13.5% before finance, management, maintenance, insurance, compliance, voids and tax.

GDV / Resale Analysis

For feasibility I would use an indicative £180,000–£215,000 completed-value range. This is an AI-assisted investment appraisal estimate and not a formal RICS valuation. Using midpoint assumptions gives an estimated completed value of about £197,500 against guide-plus-midpoint-works of approximately £100,000.

Properties Sold Within Approx. 5 Miles

The recent £207,500 flat sale is useful evidence for a long-lease/marketable unit, but the subject's 43-year lease creates a major value and mortgageability discount. The long-lease GDV should not be used until the lease-extension premium is professionally assessed.

Potential BRRR Position

At the midpoint GDV of approximately £197,500, a purely illustrative 75% LTV refinance would be around £148,125. Against guide plus midpoint works of approximately £100,000, this should be viewed only as a sensitivity test; lender valuation, construction, lease length, rental stress tests and borrower criteria determine the actual refinance.

Flip Analysis

A resale strategy should be tested against the conservative end of the £180,000–£215,000 GDV range and must deduct acquisition tax, the £1,800 auction administration charge, legal fees, finance, holding costs, refurbishment, contingency and selling costs. Headline uplift is not the same as net profit.

Investor Risks & Due Diligence

• Obtain a specialist statutory/non-statutory lease-extension valuation.




• Confirm whether Section 42 rights can be assigned on completion.




• Check service charge, ground rent and planned major works.




• Do not assume ordinary BTL mortgageability at 43 years unexpired.

Recommendation

Preferred strategy: Lease Extension / Refurbish / Buy-to-Let. The final decision should be based on verified works costs, rent, legal position and comparable-supported end value rather than guide price alone.

Strategy Rating

BRRR: ★★★☆☆

Buy-to-Let: ★★★★☆

Flip: ★★★☆☆

Development: ★☆☆☆☆